Puma CEO Franz Koch Resigns After Profits Plummet 85%

Franz
Koch, the current CEO of Puma, will step down from his post in
March 2013.Courtesy
of Puma

The CEO of Puma,
Franz Koch, announced he is stepping down from his post as
the company's chief officer, as well as from the executive
committee of PPR, Puma's parent, at the end of March 2013.

His resignation follows the announcement that profits are down by
85.1 percent in the third quarter this year.

The German activewear firm had anticipated lower profits this
year as the result of restructuring initiatives designed to
counter the financial crisis in Europe. However, Puma has decided
to change its business trajectory.

"We are now going to write a new chapter for Puma and thanks to
the commitment and enthusiasm of the teams I’ve been meeting
around the world, I am fully confident in our ability to realize
the huge potential of this iconic brand," Jean-François Palus,
Chairman of the Administrative Board of Puma SE, said in a
company statement.

Puma will close 80 existing
stores in efforts to tighten its budget and to devote more
resources to product innovation and marketing.

Puma SE said that CEO's decision was based on a mutual agreement
and that in the interim Koch will help recruit a new chief
executive officer.